Repositioning of Burberry Brand: A Case Study

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Case Study 1
Answer 1
The article clearly depicts that the company Burberry wants to grow in the target market by
repositioning its brand. The company is already placed in the fashion and clothing industry and
provide affordable accessories and clothes to people worldwide. However, with the decreasing
level of profits present in the industry, the company strategies to expand their level of profit in
the market by repositioning the brand from an affordable and fashionable brand to luxury brand
present in the market of UK (Villas-Boas 2018). The fact should be noted that an objective
initiated by the organization requires various changes in the business according to the activities
and programs. Resulting in which, the marketing of the business also changes, so according to
the change in the marketing plan, strategies and other objectives of the business it is important
for the management to relocate the brand in the right direction. If the marketing plan of the
business will not align to the strategic position of the company then the customers will get
confused and the brand will portray a wrong impression on them. Thus, it can be clearly
understood that it is important for a business to reposition then business depending upon the
market conditions and profitability as well (Zhang, Lin, and Newman 2016).
Further, looking at the actions of the company Burberry, it should be noted that the business
demanded repositioning of the brand because of declining profits of the company and increasing
macro-environmental pressure as well. It was important for the business to reposition the brand
for the marketer so as to depict a right image in the eyes of customers and earn revenue as well.
Repositioning can act as a good strategy for the company to expand its activities into new
diversities of the fashion market. Repositioning activity will provide a new brand identity to the
product that will attract more and more customers from the target segment which will
subsequently promote the brand in the international market as well (Lancaster, and Massingham
2017). Talking about the implications of the repositioning move of Burberry, it can be said that
the existing loyal customers of the company might feel detached from the functions of the
company. As the company is aiming to target a new segment of people, so the existing customers
might change their mind set about the products of the company. So, of this marketing activity
can negatively affect the interest of loyal customers of the company and make them shift towards
competitors as well (Insch, and Bowden 2016).

Case Study 2
Answer 2
Source: By Author
Fig. 1
Fig. 2
Primark
Gucci
Low Price High Price
Low
Quality
High Quality
Burberry
Primark